Little guys down south get bigger

One of New Zealand's smaller financial services firms has spent $61 million to acquire two other firms.

Monday, January 22nd 2001, 11:39PM

Pyne Gould Corporation (PGC) has moved further into the financial services industry with the purchase of Marac Finance and Marac Securities for $41 million, and most of Dunedin-based Allied Finance for $20 million.

Marac is well-known in the financial planning industry through its previous name UPC Securities and its involvement in putting together property syndications for nationwide advisory chain Money Managers.

Frontline Finance was launched a few years ago with a portfolio of loans from Motor Trade Finance.

With previously acquiredAllied Finance, PGG now has three finance companies straddling the key markets of vehicle financing, plant and equipment financing and property development financing.

The company has grown its term deposit and debenture business, and plans to expand that area.

PGC managing director Richard Elworthy says the company will be looking to work more closely with financial planners.